Don't have an issue with the higher standards as I spent several years in Life & Health Insurance. 

I used to be a loan officer before I had to take a leave for health reasons.

That is correct, the bank is looking to make sure the buyer can make it too the closing.

If it is not heavily marketed yet then usually you can lock it up fast before it goes out to the masses.What happens is usually a 1031 buyer is the best buyer because they are generally paying big taxes if they do not buy something unless another all cash buyer steps in at a similar price.If the property is very competitive that is when I would have my capital markets commercial mortgage person go through my financials and the aspects of the property with a fine tooth comb before even thinking of agreeing to no loan contingency.Now if you have a good attorney there can generally be put many other outs in the contract besides the loan you could use in due diligence to get EM back.My deals we generally put in a long due diligence period that doesn't start until ALL the listed items required from the seller have been received.If your professionals are not helping you with this stuff you really need to think of finding others who have those skills.No legal advice given.    

I currently dont owe anything to anybody, but have a horrible credit score duedue to past health Expenses.

You'll put less money in and your payments will be slightly lower too. The

Within the years to come, the market is sure to see a steady increase in home buyers and renters specifically from millennials which will continue to benefit the health of the real estate market well into 2018 and beyond.

Im just worried about the health issues that could arise from such a place.

He is selling because of his health.  

The Health Officer does enforce it fairly rigorously.